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what do you do for a living? just wondering, im an senior econ major and work in finance so this stuff is very interesting to me, its nice to see someone when they understand how the salary cap works, that **** is like my dream job

It's pretty simple process. Signing bonuses are spread out over the life of the contract. For example, 20 million signing bonus over a 5 year contract equates to 4 million a year cap hit. Then deduct signing bonus from overall amount to figure out the yearly amount. Keep in mind if you cut the player after one year the signing bonus is your cap hit that year.

Based on the example above if we sign Dumerville in 2013 and then cut him after a year we would be charged an 8 million cap hit (dead money) in 2014 for a player that isn't even on the team anymore. Risky but for a player like Dumerville I would take my chances.

It's pretty simple process. Signing bonuses are spread out over the life of the contract. For example, 20 million signing bonus over a 5 year contract equates to 4 million a year cap hit. Then deduct signing bonus from overall amount to figure out the yearly amount. Keep in mind if you cut the player after one year the signing bonus is your cap hit that year.

Based on the example above if we sign Dumerville in 2013 and then cut him after a year we would be charged an 8 million cap hit (dead money) in 2014 for a player that isn't even on the team anymore. Risky but for a player like Dumerville I would take my chances.

lol i know exactly how it works, he just always posts a lot of specifics i was wondering what sparked his interest

OK, how do incentive laden contracts (like the one offered to Harrison) work with the cap? It cannot count against this year's cap because you have no idea if the player will meet the incentives. I assume it gets pushed to the next season because it seems like you could really screw with the system otherwise (give veteran minimum and offer $4 million for playing a single game as the "incentive").

OK, how do incentive laden contracts (like the one offered to Harrison) work with the cap? It cannot count against this year's cap because you have no idea if the player will meet the incentives. I assume it gets pushed to the next season because it seems like you could really screw with the system otherwise (give veteran minimum and offer $4 million for playing a single game as the "incentive").

There are LTBE (Likely to be Earned) and NLTBE (NOT Likely to be Earned) Incentives. I recommend pages 109-124 of the CBA if you'd like a detailed explanation.

Essentialy LTBE is applied to the cap in the year of the contract. NLTBE incentives are applied to the following season if they were reached.

LTBE incentives are generally performance indicators that the team or player had reached in the previous season